KOREAN firm Samsung Heavy Industries is to bring 500 jobs to Scotland after choosing Fife as base for a green energy project.

The company announced it will base its first European offshore wind project there, investing up to £100 million.

It plans to test new seven-megawatt wind turbines at the Energy Park in Methil but in the future could start manufacturing there.

The firm has also signed a multimillion-pound deal with David Brown Gear Systems, owned by East Kilbride-based Clyde Blowers, to supply gearboxes for its next generation of offshore turbines.

First Minister Alex Salmond hailed the news, saying: "I am extremely pleased to welcome this inward investment by Samsung Heavy Industries, which further reinforces Scotland's place in the development of the next generation of offshore wind turbines.

"Their choice of Scotland as their first base in Europe for renewable technology development is testament to the fact this country is fast becoming the European centre for research and development in new offshore wind technologies.

"For Methil to be chosen as the test site for Samsung Heavy Industries' new 7MW wind turbine is another example of this country's ability to secure investment from global multinationals."

The South Korean firm will now work with Scottish Enterprise and Fife Council to take the project forward, to potentially bring gearbox assembly and blade manufacturing work to Scotland.

Mr Salmond said: "Scottish Enterprise, Fife Council and Scottish Development International are committed to work with Samsung Heavy Industries and David Brown to secure further investment in the form of a new wind turbine facility and associated gearbox plant at the Fife Energy Park at Methil, a significant move in that it could see much needed high-value employment in this area of Scotland."

Company CEO Insik Roh said the firm is "pleased to be participating in the development of the Energy Park at Methil at such an exciting time for the Scottish renewable energy industry".

He added: "The testing of the new 7MW offshore wind turbine at the Fife Energy Park signifies a milestone in the development of Samsung's new wind turbine generator system. We hope to contribute to the Scottish economy through successful testing and certification of our cutting edge offshore wind turbine and ultimately through establishment of our manufacturing facility here in Methil."

Jim McColl, chairman and CEO of Clyde Blowers Capital, also hailed the deal.

He said: "This is a huge vote of confidence by a major and well-respected global business in the UK supply chain and ultimately a boost for employment and future job creation.

"I am confident that Samsung has the offshore market know-how and scale of resources to be a leading player in the offshore wind market and I am delighted to be working with them to achieve this."

Lena Wilson, Scottish Enterprise chief executive, said she was "delighted that Samsung Heavy Industries has identified Scotland as the location for developing its offshore wind technology".

She added: "Not only does this project further emphasise Scotland's leading position as a hub of expertise for test and demonstration of next-generation offshore wind technology but it underlines the fact that we boast an excellent business environment for offshore wind with leading facilities such as the Energy Park in Fife."